Bulletin Number
VTB 80-5
Tax Type
Egg Excise Tax
Description
Egg Excise Tax - Legislative Changes
Topic
Clarification
Date Issued
09-12-1980
DATE: September 12, 1980
SUBJECT: Egg Excise Tax - Legislative Changes
To All Egg Producers, Handlers, Processors & Packers
The 1980 Virginia General Assembly passed legislation (House Bill No. 122) which established the Virginia Egg Commission and changed the rate of the egg excise tax.
Beginning on July 1, 1980, the excise tax on eggs produced and sold in Virginia changed from $0.03 per standard case of 30 dozen eggs to $0.05 per standard case of 30 dozen eggs. The egg excise tax is levied on eggs subject to the tax but is collected from the handler who purchases them from the farmer. For purposes of the egg excise tax, "the handler" is defined as a person who operates a grading station, a packer or huckster handling eggs, or an eligible farmer who packs, processes or performs the functions of a handler for a portion or all of his eggs. The handler, in-state or out-of-state, who handles eggs produced and sold to him in Virginia must deduct the tax from payments to the farmer. All eggs are subject to the tax except eggs sold by a producer selling less than five hundred cases per year.
Monthly Virginia Egg Promotion Tax Reports showing gross volume of eggs on which the tax is levied and amount of tax thereon must be filed with the Department of Taxation. The tax that is due and payable must accompany the return which is due on the twentieth of each month for the preceding calendar month. If the tax is not remitted when the return is due, interest, at 12% per annum, will be charged from the due date until the tax is paid.
The law provides that it is a Class I misdemeanor if any handler reports falsely the quantity of eggs handled or falsifies records or fails to keep records for at least two years from the time such eggs are processed or handled.
Anyone having questions regarding this bulletin should contact the Department at Post Office Box 6-L, Richmond, Virginia 23282.
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